Forex Blog

A new addition to my strategy Forex e-books collection arrived today and now can be downloaded by everyone — it’s FX Wizard by Rob Walton. This e-book is about almost everything that is connected to the successful Forex trading — basic money management, discipline, the overall systematic behavior of the trader and, of course, the trading system development. It’s intended for the experienced Forex traders that know the basics and are eager to learn the more important information. But if you trade for several years then you should already know everything that this book can tell you about. If you have just turned from being a Forex newbie to first significant successes and failures in trading then this e-book is for you.

I’ve recently ran across an interesting money management book — Money Management: Controlling Risk and Capturing Profits by Dave Landry. It’s a short e-book, written in four parts. First part simply explains why the risk management is important in the financial trading. Second part gives some interesting advices to organize your money management strategy, or to help you create one. Third part is where some of the Forex professionals are sharing their experiences of poor and good money management. And the final one, fourth, is the most interesting one, in my opinion, — different Forex professionals share their lessons of risk-wise trading.

I’ve also changed the structure of the Forex e-books section a little. Now I have a separate list for beginner, general, advanced, psychology, strategy and money management e-books.

Now you can download a new free research paper related to the Forex market from the e-books section of my site. It is “The Interaction Between the Frequency of Market Quotes, Spread and Volatility in Forex” that was published in the Applied Economics journal more than 10 years ago. This paper researches the relations between volatility, spreads and the frequency of the new market data in the Forex. It can be considered outdated for the majority of the modern traders, but it can help in understanding of how the interbank Forex market works. This e-book is definitely not for the general traders’ community, but it holds a lot of information for the experienced and professional traders.

Now you can freely download another money management in trading related Forex book from my site — Mathematics of Money Management: Risk Analysis Techniques for Traders. It is written by Ralph Vince, the author of many books about the use of math in trading. Although this e-book is quite heavy on mathematics (calculus and statistics) it’s intended for the general readers — both for those that are fluent in numbers and those that are not. You’ll find some working methods and formulas there, that, if used in your own money management strategies, should help you to avoid many of the problems financial traders encounter. It’s quite a big e-book and isn’t very easy to understand, so be prepared for some long read.

I uploaded a new Forex e-book to the site today - it’s called “The New Science of Technical Analysis“. It was written by Thomas R. DeMark, one of the founders of the modern technical analysis and developer of the DeMark’s pivot points. This book is more suited for the experienced Forex traders, because it goes quite deep into the techniques of chart analyzing, while being not very entertaining (of course, hardcore Forex traders will be entertained by such precious knowledge itself, but that’s another story ☺). The book is divided into 13 chapters with each of them describing a certain pattern or behavioral aspect of trading. Definitely - a good read for those who think that they know a lot about Forex trading.

Two new Forex e-books were uploaded to my site today, again, they are more articles than books, but I think that they fit better in Forex books section rather than articles, because they are finely formatted into the Word documents (EDIT: I’ve converted them to PDF as a more conventional format) and are more complex than other articles. These e-books both come from Mr. S.A. Ghafari, who decided to share his Forex trading experience with other traders on the non-profit basis. The titles of the articles speak for themselves:

A Practical Guide to Technical Indicators; Moving Averages
How to Trade Both Trend and Range Markets by Single Strategy?

EDIT: Added another two Forex articles by the same author. This time they are more articles with less pictures and tables:

Too Many Strategies, But Still Frustrated?
Stop Loss?? I Don’t Want To Use It

Another Forex strategy e-book can now be downloaded from my site, it is Offset Trading by Dana Martin. This e-book isn’t very bright, but describes one of the most potentially profitable Forex trading strategy - range breakout trading on news releases. After 2-3 pages of actually describing the strategy it becomes a some sort of advertisement for MB Trading broker and their trading platform. But I can assure you that there are other ways to trade such strategies with comfort - i.e. Amazing MT4 expert advisor. And Forex news trading is one those strategies I use on my real trading account.

A new trader’s psychology related e-book for you to read:

Learning Flawless Execution of a Trading System by Mark Douglas

It’s more like an article - just 4 pages long, but it contains a useful information for all Forex traders that have problems in applying a trading strategy. Sometimes, it seems that you know better than your strategy and you correct its actions. Mark describes why such approach is completely wrong and tells us how to avoid it. If you constantly find yourself changing a Forex strategy after it lost 2 positions, you will probably learn some interesting facts from this book.

I’ve added a new Forex e-book to my site - The Forex Trader’s Cheat Sheet. It’s not just a book, but a real cheat sheet which can be used every time you consider opening a new position on Forex market. It has several pages of explanations on how to apply its statistical data and a printable version of cheat sheet for 5 currency pairs: GBP/USD, GBP/JPY, EUR/USD, USD/CHF and USD/JPY. As the authors say - it doesn’t tell you HOW to trade, it tells you WHEN to do it. But it also has recommendations on position target sizing. Forex Trader’s Cheat Sheet is based on the statistical data for H4 timeframe - you can consult it to determine if the trend which you are seeing now is going to last or is it at its end.

I’ve checked the performance of this cheat sheet combined with a simple moving averages cross system and it was quite good. I used GBP/USD on H4 timeframe on the last two months period. Near 80% of all generated trades were profitable with an average profit/loss rate of more than 2.5. Use it wisely :-).

Currency Trader is one of my favorite monthly read. It is published every month by http://www.currencytradermag.com/ website and contains many articles by professional authors. Articles vary from covering recent news topics to technical analysis matters, to fundamental macroeconomic factors. From every issue I learn a lot of important information on global economics and some interesting connections between various financial markets and Forex. For those who don’t have economic education this magazine is a good way to get some, at least to improve trading experience. The best thing about Currency Trader is that it is completely free - you can subscribe for it here: http://www.currencytradermag.com/subscribe_acrobat.htm. The worst thing — it has a lot of advertising. There is so much of it that content is almost lost in ads.

For some reason guys from Active Trader Magazine Group, which publishes Currency Trader Magazine, doesn’t want it to be freely downloaded from anywhere. So, I had to remove it all from my site. If you still want to read this magazine, you can subscribe to the new issues for free, or you can always find past issues somewhere else (P2P networks, for example).